Bayer and Avigen Collaborate
On Gene-Therapy Treatment

By

Stephen D. Moore Staff Reporter of The Wall Street Journal

Updated Nov. 17, 2000 3:18 a.m. ET

German pharmaceutical giant Bayer AG on Friday announced a $60 million collaboration with U.S. biotech firm Avigen Inc. on a gene-therapy treatment for hemophilia B, a rare inherited blood-clotting disorder.

The transaction, which includes the purchase by Bayer of a 2.5% stake in Avigen, is the latest step in an expensive research revival at the German company. But it is a risky gamble. Despite enormous scientific potential, gene therapy has fallen from favor as ballyhooed research projects have flopped. And the first...